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Cash generated from operations definition

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › Cash generated from operations definition

  • This topic has 1 reply, 2 voices, and was last updated 7 years ago by AvatarJohn Moffat.
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  • December 16, 2018 at 9:01 pm #492068
    Avatarkingkongsajang
    Member
    • Topics: 95
    • Replies: 75
    • ☆☆

    What does cash generated from operations stand for
    and how is it different to net cash flows from operating activities?

    Thank you

    December 17, 2018 at 6:47 am #492077
    AvatarJohn Moffat
    Keymaster
    • Topics: 57
    • Replies: 54839
    • ☆☆☆☆☆

    Cash generated from operations is effectively the operating profit in cash terms.
    Cash flows from operating activities also take account of interest, tax, and dividends paid.

    This is all explained in my free lectures on Statements of Cash Flows.

    The lectures are a complete free course for Paper FA and cover everything needed to be able to pass the exam well.

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